Opening Inventory Balance - Average Cost

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  • Updated 4 months ago
Hi team,

We are starting a new Hosted file and looking to bring in the inventory quantity and cost value for each Track Inventory item, so when we run an inventory report the Balance Sheet will match the inventory report.

I see we can do a bulk import of items and at this stage can bring in the quantity on hand, cost price and sales price etc. however I can't seem to find how I'll bring in the average price and therefore the value of stock on hand at start date.

Am I missing an area where to put in the Average Price information?

Thanks,

DAR
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DAR

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Posted 4 months ago

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Hi DAR

Reckon automatically calculates this for you by taking the total cost of the Item currently in stock & dividing that by the number of Items (quantity) in stock.   

This also constantly updates automatically for you as your stock costs/levels changes.

 

Shaz Hughes Dip(Fin) ACQ NSW, MICB

Reckon Accredited Professional Partner Bookkeeper / Registered BAS Agent (No: 92314 015)

Accounted 4 Bookkeeping Services

Ballajura, WA

0422 886 003

shazinoz2@bigpond.com


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DAR

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Hi Shaz,

Thank you, how do I get the total cost of an item into Reckon when starting a new file?
In our instance we have an existing file with x amount of items at varying costs and will start a new file due to other factors.

Say we have a Green Cap as an item (one on hand) and it has an average cost of $10, this is shown in the balance sheet as $10 and also ties up with the inventory report.

To get this into the new file on the excel sheet, we can import the Name, Cost, Sale price and quantity however I can't seem to find where I can import the $10 average cost into the inventory area.

Using the above, I have imported this into the new file and it is showing in the specific item it's: cost, sales price, accounts and quantity on hand. However it doesn't have the average cost and therefore hasn't impacted/recorded the amount in the balance sheet, in essence I have 1 Green Cap on hand with no $ value on the balance sheet.

I have then sold this item expecting to see the transfer of $10 of cost from the Asset to the COGS account, however this amount is $0 as the item doesn't have a cost to transfer.

Am I missing something on the import or is it not available and we'll need to manually enter in each item?

I get the feeling we can't bring in the average price for each item on an excel sheet import and hence looks like a laborious transfer. I am very welcome to being proved wrong and shown the correct way.

Thank you. 
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Graham Boast, Accredited Partner

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Hi DAR

When you import Inventory Items via the File > Utilities > Excel Files, there are 3 columns that you will need on your Excel file:

On Hand: Qty on Hand

Total Value: Equals Qty on Hand x Average Cost (eg 10 on hand at $1.50 Average Cost = 15.00 Total Value.  Reckon will calculate the average cost from these values.  Note that your average cost should always be the ex-GST cost.

As Of (Date): Date of Stock Count in mm/dd/yyyy format.  Reckon will create an Inventory Adjustment transactions (Dr Inventory Cr Opening Bal Equity) for each inventory item.  If you don't have an As Of date, it will default to today's date. 

Hope this helps.

Graham 0409317366
graham@reckonhelp.com.au 
(Edited)
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DAR

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Hi Graham,

Nailed it, that worked a treat. Thanks for the help.

Cheers